EXHIBIT 7-NEWSPAPER REPORT ON USDA ACTIVITY

[From the Boston Evening Globe, Aug. 14, 1975]

MEAT COMPANY CHARGED WITH ILLEGAL PAYOFFS
(By Stephen Curwood)

Wilson & Co., one of the nation's biggest meat packers, made more than $72,000 in illegal kickback payments to induce stores to sell their meats, the US Department of Agriculture (USDA) charged yesterday in an administrative complaint.

Wilson denied the charges in a statement issued yesterday from its Oklahoma City headquarters. Last year, Wilson grossed more than $2 billion from the sale of meats.

USDA said the payoffs and other promotion programs were conducted between 1969 and 1973 by the firm's Albert Lea plant in Minnesota without the knowledge or consent of the food wholesalers and supermarket chains whose companies or employees were involved.

"The payment program was aimed at increasing the sale of Wilson's fresh and processed pork products, thereby gaining a competitive edge over other packers in the same area," a summary of the USDA complaint said.

The USDA said more than $19,000 in "commercial bribe" payoffs were made to 15 employees of five companies to induce them to buy Wilson products. Gifts ranging from $50 worth of sporting goods to a $4000 automobile were made to the employees.

At one firm, Super Valu Stores of Hopkins, Minnesota, Wilson was charged with conducting a point promotion in which store managers and meat and merchandising buyers were given a choice of valuable gifts based upon the volume of Wilson products purchased.

The other outlets whose employees were named included Biggers Bros. of Charlotte, N.C.; Frickson Bros., of Bloomington, Minn., Twin Fair of Depew, N. Y.; and Red Owl Store, Hopkins, Minn. The outlets were not charged.

The USDA charged, in connection with the improper use of cooperative advertising funds, that more than $38,000 was paid, when "in fact no advertising services had been performed and the payments were actually a subterfuge to rebate a portion of the purchase price paid by customers for Wilson products.'

USDA also said Wilson converted to its own use more than $15,000 in cooperative funds that had accrued to two stores without the stores' knowledge or consent.

Wilson denied that its policies or practices "violated the Packers and Stockyards Act as charged."

"Our policies are and always have been in strict compliance with the law," a Wilson spokesman said. "We feel confident the company is not guilty of any wrongdoing."

A USDA spokesman said the "filing of the complaint does not prove Wilson & Co. has violated the act. The firm has a right to a hearing to determine if the evidence supports the charges. If the charges are proved, the firm would be placed under a cease and desist order." According to a USDA attorney, Wilson must respond to the charges in 20 days.

EXHIBIT 8-AN ACT DEALING WITH THE MILK

CONTROL COMMISSION

THE COMMONWEALTH OF MASSACHUSETTS

In the Year One Thousand Nine Hundred and Seventy

AN ACT Dealing with the milk control commission.

Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:

SECTION. 1. Chapter 20 of the General Laws is hereby amended by striking sections 7, 8, and 9.

SEC. 2. Chapter 94 is hereby amended by repealing Sections 29, 29A, 30, and 31.

SEC. 3. Section 27 of chapter 94 is hereby amended by striking the words "and the director of milk control and duly regulated under the provisions of Section 29A" and by striking the last sentence and inserting in place thereof the words "A copy of each certificate shall be furnished to the Commissioner of Agriculture".

SEC. 4. Sections 28 and 28A of chapter 94 are hereby amended by striking the words "director of milk control" and inserting in place thereof the words "Commissioner of Agriculture".

SEC. 5. Section 1 of chapter 94A is hereby amended by striking the words "commission" and "director".

SEC. 6. Chapter 94A is hereby amended by striking Section 1 and reinserting said Section in Section 14, chapter 94.

SEC. 7. Chapter 94A is hereby amended by striking Section 2 and inserting in place thereof the following:

The Commissioner or his agent shall have the following powers and duties to:

1. Designate and establish milk marketing regions in the state;

2. Supervise and regulate the milk industry in the Commonwealth, Provided, That the Commissioner shall not have the power to supervise and regulate the sale of milk in retail stores as to cost, sales, or price, nor shall the Commissioner be able to establish prices or costs for dealers, producers or any other parties engaged in the sale, receipt, or bandling of milk or milk products;

3. The Commissioner may promulgate, pursuant to a public hearing, regulations to carry out the intent of this section, including the licensing of milk dealers.

SEC. 8. Chapter 94A is hereby amended by striking Sections 3, 4, 5, 6, 7, 8, 9b, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 22A, 23, 24, 25, 26, 27.

SEC. 9. Chapter 94 is hereby amended by adding the following new Section, 14C:

SEC. 14C. In case of conflict between federal laws or regulations and state laws or regulations, federal laws or regulations shall be in effect. The federal marketing law shall apply in all state established marketing regions.

EXHIBIT 9-AN ACT REQUIRING PUBLIC HEARINGS REGARDING NUTRITIONAL INFORMATION

THE COMMONWEALTH OF MASSACHUSETTS

In the Year One Thousand Nine Hundred and Seventy-Five

AN ACT Requiring public hearings regarding nutritional information Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:

SECTION 1. Section 192 of Chapter 94 of the General Laws is hereby amended by adding the following sentence:

It shall hold public hearings and make regulations concerning the display of nutritional information, health related nutritional information, ingredient information, open code date information and storage information either on individual packaged goods or in other ways to be determined by the department for all food intended or sold for human consumption.

EXHIBIT 10-AN ACT PROHIBITING THE PRE

TICKETING OF FOOD PRODUCTS

THE COMMONWEALTH OF MASSACHUSETTS

In the Year One Thousand Nine Hundred and Seventy-Six

AN ACT Prohibiting the pre-ticketing of food products

Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:

SECTION 1. Chapter 93 of the General Laws is hereby amended by insertion of the following new chapter 93F:

SECTION 1. As used in this chapter, the following words shall, unless the text otherwise requires, have the following meanings:

(a) “Retailer” means any person engaging in direct sales of food to the ultimate consumer or to the public generally, and includes persons who either own or control retailers and supply them with food.

(b) "Food" includes all articles, whether simple, mixed or compound, used for food or drink, confectionery or condiment, by man or animal. (c) "Pre-ticketing of Food Products" means the labelling, marking or affixing of an actual or suggested retail price to any container or package of food by persons other than retailers at places other than the retailer's place of business.

SEC. 2. The pre-ticketing of food products by any person who either directly or indirectly manufacturers, sells or distributes food in Massachusetts shall be unlawful.

SEC. 3. Whoever violates section 2 of this chapter shall for the first offense be punished by a fine of not less than $25.00 nor more than $50.00, and for a subsequent offense, by a fine of not less than $100.00 nor more than $500.00:

SEC. 4. The director of standards and the sealers of weights and measures shall enforce the provisions of this chapter.

EXHIBIT 11-AN ACT AMENDING THE MILK AND CREAM LAWS TO PROVIDE FOR UNIFORMITY WITH FEDERAL LAW AND RECIPROCAL INSPECTION OF DAIRY FARMS

THE COMMONWEALTH OF MASSACHUSETTS

In the Year One Thousand Nine Hundred and Seventy-Five AN ACT Amending the milk and cream laws to provide for uniformity with Federal law and reciprocal inspection of dairy farms

Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:

SECTION 1. Section 42 of Chapter 6 of the General Laws is hereby repealed.

SEC. 2. Section 1 of Chapter 94 of the General Laws is hereby amended by striking out the definitions of "Butter", "Cheese", "Cream Cheese", "Half and Half”, “Heated Milk", and "Pasteurized

Milk".

SEC. 3. Section 16 of said Chapter 94 of the General Laws as amended is hereby repealed and in place thereof is inserted the following new section 16:

For the purposes of Chapter 94, the following words shall have the following meanings:

"Dairy Farm", a place or premises where more than two cows are kept and a part of all the milk produced thereon is sold or delivered for sale to any person.

"Commissioner" shall mean the Commissioner of the Department of Food and Agriculture.

SEC. 4. Chapter 94 is hereby amended by striking the word "director" and inserting in place thereof the word "Commissioner". The words "established by the board" is hereby deleted and inserted in place thereof is the words "as provided in section 12." The word "board" in said chapter is also deleted and the words "Commissioner of Food and Agriculture" is inserted in place thereof.

SEC. 5. Section 16B of said Chapter 94 as amended is hereby repealed and in place thereof is inserted the following new section 16B:

Applications for the registration of dairy farms under section 16C shall be made upon blanks furnished by the Commissioner and shall contain such reasonable information as may be required by the Commissioner in order to assure the health and safety of all milk within and milk without the Commonwealth.

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